The Philippines: Rich In Culture And In Opportunity

Just back from the book launch of Talented Philippines in bustling metro Manila – selfie capital of the world and the second fastest growing Asian economy behind China. The experience is at once exhilarating and earthing – the possibilities in the Philippines appear endless, the challenges daunting. At the outset of writing the book, Talented Southeast Asia, co-author Karen Cariss and I quickly recognized that not only did the entire region have a specific talent management footprint, but so did each country within it. And each warranted its own in-depth analysis. We decided to dive deeper into country-specific nuances that make up this vibrant and diverse region. First up, the Philippines.

Rich in culture and natural beauty, the Philippines is home to some of the most inspiring and promising talent in the world. That talent is already demonstrated by Filipinos in companies around the globe and yet, it is only just a taste of what is possible and what is still to come. The Philippines has an enormous amount to offer for multinational corporations looking to expand into the region.

Several data points exemplify the tremendous growth potential for the Philippines:

A Filipino baby is born every 18 seconds, adding 2 million people to the population each year. By 2020, the population is expected to reach 110 million.

The economy is growing at a steady rate, and the gross domestic product (GDP) is forecast to grow a solid 6% through 2018.

The workforce has increased by 22% in the past decade and now totals 44 million workers.

Workers are moving away from agriculture and shifting into the service sector, which employed 52% of workers in 2010, up 28% since 1995.

The Philippines continues to have the youngest population demographic in the world, with a median age of 23.2 years.

Clearly, growth and the Philippines go together like white and rice. While there are distinct business implications associated with this economic growth, MNCs also need to consider a number of other factors in order to be successful in the Philippines.

The Impact of the AEC

It is the dawn of a new era for the Association of Southeast Asian Nations (ASEAN), which comprises Singapore, Malaysia, Thailand, Philippines, Indonesia, Vietnam, Cambodia, Lao PDR, Myanmar and Brunei Darussalam. At the beginning of 2016, the ASEAN Economic Community (AEC) will officially launch and create one global economic force of reckoning.

Designed to merge the disparate power and representation of its individual members, the AEC promises to be a regional game-changer that will fuel intra-regional trade and encourage a significantly freer flow of skilled labor. The International Labour Organization (ILO) estimates that the AEC could add an additional 3.1 million jobs to the Philippines economy, with many of those positions available for highly skilled workers such as managers, professionals and technicians.

For global employers, the AEC will usher in a transformation not only of workplace design, but also of mindsets. The inevitable rise in remote and virtual workers will create demand for agile work environments, and technology will serve as the backbone for enhanced workplace collaboration.